Local Government

Agreement signed for wastewater services in Saint-André area (09/12/14)

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Dec. 14, 2009

SAINT-ANDRÉ (CNB) - An agreement on the management of wastewater services for residents of the Michaud subdivision has been signed by the Town of Grand Falls, the Rural
Community of Saint-André, and the Michaud Sewerage Commission. Local Government Minister Bernard LeBlanc made the announcement today.

"I congratulate the Town of Grand Falls, the Rural Community of Saint-André, and the Michaud Sewerage Commission on their spirit of co-operation in resolving this wastewater
management issue for 225 residents of the Saint-André area," said LeBlanc. "This agreement will be positive for all of the parties, since it will enable them to save money in the
medium and long terms, as well as protect the environment."

The agreement provides for renegotiation of the amounts owed by the Michaud Sewerage Commission to the town of Grand Falls for wastewater collection services since 2005. The
Rural Community of Saint-André agrees to defray the costs of repairing the wastewater infrastructure, which has been experiencing surface water infiltration problems since 2005.

The agreement was made possible thanks to the involvement of Department of Local Government employees, who acted as facilitator. The agreement will come into effect on Jan.
1, 2010.

The three parties have agreed on the following terms and conditions:

the Rural Community of Saint-André will repair the Michaud Sewerage Commission's wastewater collection system in order to limit surface water infiltration in the system. The
repairs will be completed by July 31, 2010;

the amount of debt owed to the Town of Grand Falls by the Michaud Sewerage Commission, which was almost $180,000, will be reduced to $105,000. This will include the
elimination of interest and fees related to the treatment of surface water, which was necessary due to infrastructure damages;

in order to receive water treatment services from Grand Falls, beginning Jan. 1, 2010, the Michaud Sewerage Commission will make set monthly payments until repairs to the
commission's wastewater collection system have been completed by the Rural Community of Saint André; water meters will then be installed, and residents will pay the same
water rates as Grand Falls residents; and

the Michaud Sewerage Commission agrees to transfer ownership of the wastewater collection system from the Michaud subdivision to the Rural Community of Saint-André.

"As mayor of the Rural Community of Saint-André, it gives me enormous pleasure to sign the agreement between the town of Grand Falls, the Michaud Sewerage Commission, and
the Rural Community of Saint-André," said Lionel Poitras. "I am certain that our collaboration will be beneficial to all of the parties."

"On behalf of the Michaud Sewerage Commission, I wish to thank the representatives of the Department of Local Government who, thanks to their involvement in the matter,
helped to facilitate the signing of an agreement between the three partners," said Allain Desjardins, commission treasurer. "We are pleased to be able to come to this friendly
agreement, which is clearly a win-win for the three parties. We see this as a positive way to move forward, and we are very proud to be part of it."

"After several years of misunderstandings over wastewater billing between the Michaud Sewerage Commission and the town of Grand Falls, we have reached a friendly agreement
in the interest of all of the parties concerned," said Grand Falls mayor Marcel Deschênes. "We also appreciate the leadership of the Department of Local Government for its
involvement. We are proud to have resolved this difference of opinion, and to be able to continue offering services to the surrounding communities. We look forward to continuing
to work together for the good of our fellow residents."